(1.) THE Oriental Insurance Company has preferred this Appeal assailing the judgment passed by the Third Motor Accident Claims Tribunal, Puri in MACT Misc. Case No. 106/470 of 1991/1986. According to the appellant, the Insurance Company is not liable to pay the compensation of Rs. 52,900/ as the claimant was a passenger in the bus and the maximum liability of the insurer was only to Rs. 15,000/ as was prevalent at the relevant time. It is also alleged that the policy having been cancelled as the cheque bounced, the Insurance Company was not liable to pay any compensation.
(2.) BEREFT of all unnecessary details, the short facts are as follows : Admittedly, on 15.10.1986 the claimant Respondent No. 1 was traveling in a bus bearing Registration Number OSU 9423 from Puri to Bhubaneswar on payment of hire charges. Another bus bearing Registration number ORX 5557 was proceeding ahead of the bus in which the claimant was travelling. The driver of the bus OSU 9423 wanted to over take the bus ORX 5557. The driver of the latter bus made a show of giving side to the former one by moving the bus towards left. But when the gap between two buses substantially reduced, the driver of the bus ORX 5557 steered the vehicle to the right so as to prevent the bus OSU 9423 from over taking. The driver of the bus OSU 9423 being perplexed and in order to avoid collision applied sudden brake, but then, the vehicle which was in high speed and was in the process of over taking capsized on the road. As a result of such accident, the claimant as well as many other passengers sustained grievous injuries. The claimant was sent to Chandanpur P.H.C. for treatment and thereafter, she was shifted to Head Quarters Hospital, Puri. She remained under treatment till 9.11.1986. She sustained compound fracture of right scapula and dislocation of the shoulder joint. During the treatment, her condition became serious and she was removed to S.C.B. Medical College Hospital, Cuttack where she was treated for quite some time. She became permanently disabled. Admittedly she was working as nursing sister in the District Head Quarters Hospital, Puri and was aged about 43 years at the time of accident. She was drawing a salary of Rs. 4,800/ per month besides having some additional income. She claimed a sum of Rs. 1,20,000/ as compensation.
(3.) ON receiving notice, both the Insurance Companies filed their written statements whereas the owners of both the vehicles did not take any steps and were set ex parte. The Insurance Companies in their written statement baldly denied the fact of accident and pleaded that the claimant and the owners of the vehicles should prove all the allegations beyond reasonable doubts and should be put to strict proof. The Oriental Insurance Company towards fag end of the case filed an additional written statement pleading that the policy of the vehicle in which the claimant was travelling was cancelled as the cheque issued by the owner was dishonoured and as such, it is not liable to indemnify the compensation. In the alternative, pleaded that since the claimant was a passenger in a passenger bus, the liability is limited to Rs. 15,000/ only.